Prior to 1 October 2019, a purchaser would be able to obtain a Section 15(B) & (C) Certificate which would confirm if the requirements of the Mine Subsidence Compensation Act have been complied with and if any claims had been made by the previous owners of the property to the Mine Subsidence Board.
These certificates are no longer available
What should a purchaser do to make sure they are entitled to make a claim in the event that the structure is affected by Mine Subsidence?
Make enquiries with the previous owner to see if they can provide details of any previous claim and what works were completed or compensation made.
If the vendor does not have any information, you can look on the Subsidence Advisory website and search to see when the last certificate was issued. If no further structures have been erected, then this certificate is sufficient as all structures that were on the property at the date of the certificate will be eligible for compensation.
Subsidence Advisory have advised that structures that have Council approval will be covered in the event that no certificate is issued, as Subsidence Advisory approval is required as part of the application process. A purchaser should make enquiries with Council to see what approvals they hold for the structures at the property. This can pose a problem if the Council does not hold records for a particular structure due to the age of the structure as records were not kept in order as they are now.
Title insurance may be obtained, however this will cover the approval for the structure, not any previous Mine Subsidence issues.
Plans for any structure that is to be erected in a Mine Subsidence area will need to be approved by Subsidence Advisory NSW as well as the local Council. It is recommended that the owners of the property keep a copy of approvals to assist any future prospective buyer when the property is for sale.
Further information regarding purchasing property in a Mine Subsidence area can be found on the Subsidence Advisory NSW website.
This blog is merely general and non-specific information on the subject matter and is not and should not be considered or relied on as legal advice. Coutts is not responsible for any cost, expense, loss or liability whatsoever to this blog, including all or any reliance on this blog or use or application of this blog by you.